Due to the reduced demand, one of the largest is closing crypto exchanges, Crypto.com, its institutional services in the US. The promotion will take effect on June 21. Crypto.com released the official statement on Tuesday:
“We recently made a business decision to suspend the institutional offering of the Crypto.com Exchange in the US as of 11:59 PM on June 21, 2023 due to limited demand from US institutions in the current market landscape. Affected institutional users were notified in advance to support a smooth transition”
While the platform will no longer be available to large companies, US retail customers need not worry. For them, the application will continue to function as usual.
Crypto exchanges in heavy weather
The announcement may be related to the difficulties exchanges are currently experiencing. June turned out to be a difficult month for crypto platforms. BinanceUS and Coinbase are facing legal proceedings from the US Securities and Exchange Commission (SEC) for alleged violations of securities laws. It caused turmoil in the wider cryptocurrency ecosystem, causing a significant drop in the market. Crypto.com has indicated that it is open to a possible relaunch of the service should the situation improve in the future.
Crypto.com arena in danger?
On social media, crypto and sports fanatics speculated that the bad news could relate to the Crypto.com arena. The arena is a sports station for the famous basketball team, the Los Angeles Lakers. To put its name on the arena, the platform has signed a 20-year deal worth $700 million. Fortunately, the institutional service has had a small impact on the overall business and has reassured fans that there will be no further impact on the stadium.